Transcription

2 cautionary statement this presentation contains forward-looking statements about France Telecom s business, in particular for 2011 and Although France Telecom believes these statements are based on reasonable assumptions, the actual occurrence of the forecasted developments is subject to numerous risks and uncertainties, including matters not yet known to France Telecom or not currently considered material by France Telecom, and there can be no assurance that anticipated events will occur or that the objectives set out will actually be achieved. Important factors that could cause actual results to differ materially from the results anticipated in the forward-looking statements include, among other factors, overall trends in the economy in general and in France Telecom s markets, the effectiveness of the Conquests 2015 industrial project and of other strategic initiatives, France Telecom s ability to adapt to the ongoing transformation of the telecommunications industry, regulatory developments and constraints, as well as the outcome of legal proceedings and the risks and uncertainties related to international operations and exchange rate fluctuations. more detailed information on the potential risks that could affect France Telecom's financial results can be found in the Registration Document filed with the French Autorité des Marchés Financiers and in the annual report on Form 20-F filed with the U.S. Securities and Exchange Commission. Except to the extent required by law, France Telecom does not undertake any obligation to update forward-looking statements. 2

3 in France, xdsl is the winning player in high-speed broadband* 0,5 high-speed broadband: highly penetrated market largely xdsl dominated in millions of households 1,0 7,1 20,5 market penetration: ~75% of households xdsl cable very high speed not equiped cable 5% 95% xdsl attractive wholesale regulated tariffs and strong competition since many years has led France to present one of the highest unbundling rate in Europe (~40% of ADSL customers are fully unbundled). over the last 10 years, ARPU was pushed up through the bundling of services : high-speed internet, TV, VoIP (~30 /month) since one year, beginning of segmention of the market with basic & premium offers of which 550k households are equipped with very-high speed broadband market penetration: <2% of households cable 72% FTTH orange 12% 16% FTTH other (cumulated) since a few months the market is seeing the beginning of the demand for higher broadband: in 2Q11, 18% of the overall broadband net adds were on very high broadband cable market share is reducing (from 75% at the end of 2010 to 73% at 1Q11 and 72% at the end of 2Q11) at the end of June 2011, 1.2m homes are FTTH connectable for 155k FTTH customers orange is the market leader in FTTH with a 47% market share 3 * All figures are 2Q11 ARCEP figures

4 needs for very high speed broadband are increasing steadily, above performances of asymetrical networks 39% of households 3D ready in 2015* what I can do with FTTH: more devices connected simultenaously more upload FTTH boosts current applications real time 3D massive multitple players games 3D immersive TV FTTH enables new usages multiple videoconference e-commerce, e-education e-care fast internet navigation send 10 s with 10Mo in attachment in 2 seconds download 1 mp3 album (50 Mo) in 3 seconds download an 200 pictures photo album (1Go) in 1 mn and 20s high definition teleworking Home automation ubiquitous access to network stored data and content download a movie (800 Mo) in less than a minute benefits from a lower latence and a reliable connexion for online gaming several HD TV stream at the same time in a clear regulation context and in a competitive market, Orange has announced an ambitious FTTH deployment plan to serve these new customer needs 4 * FT-Group estimates

5 FTTH : the choice for the most efficient and future proof solution vs FTTC (and FTTB) Coverage DSL window of opportunity ADSL / ADSL2+ VDSL2 < 20 Mbps < 100 Mbps FTTH 100+ Mbps FTTC FTTB FTTH bandwidth / reachability VDSL speed is 25 to 30 Mbps for a 700 m distance to the street cabinet (average in France) VDSL speed is 50 to 100 Mbps when fiber terminates at the building 100+ Mbps With FTTH, reachability is no longer an issue cost FTTC is less CAPEX intensive than FTTH in urban areas FTTB saves on indoor wiring but requires active equipment installation in the building FTTH is less OPEX intensive than FTTC/B since most FTTH active equipment is managed at MDF FTTC CAPEX are not re-usable as part of a FTTH deployment 5

7 regulation in very dense areas each operator deploys its own network very close to households (horizontal) shared access/mutualisation point within buildings counting a minimum of 12 homes the operator chosen to build the vertical fibre has to ask other operators if they want to share the costs for subsequent access to the building for smaller buildings (<12 homes) or individual houses, the shared access/mutualisation point is for a maximum of 300 homes connected households install fibre at home optical network node Orange connected buildings wire buildings with fibre vertical shaft shared access CP* CP CP mono-fibre or multi-fibre building GPON or point-to-point 7 optical network node other operators * connection Point

8 regulation in less dense areas mono-fibre only shared access/mutualisation point: minimum 1,000 homes wholesale offer from the shared access/mutualisation point to the connection point available (Orange offering): other operator can choose to either co-finance upfront (capacity shared) with a small on-going recuring fee or a full wholesale offer (price per line) ARCEP accepted the Orange wholesale offer and Iliad already signed a contract with Orange connected households install fibre at home optical network node Orange shared access house home passed roll out fibre in the street connected buildings wire buildings with fibre vertical shaft house CP* CP CP connection point connection point building 8 optical network node other operators * connection Point

9 ambition and objectives plan to invest 2 billion euros in the FTTH program over the period deployment of fibre-optic networks in 3,600 French cities by This will be spread across 220 gathering of cities (conurbation), including all large and medium-sized town or cities. the Group will offer network coverage for 11 million French homes by 2015 and 16 million by phasing of fibre CAPEX 1bn 1bn key objectives in very dense areas: long term investment to secure the future and gain first mover advantage with an expected return from: win-back of market share increase ARPU and secure wholesale revenues network substitution by #1 in fibre in in dense areas: improve Quality of Service and ARPU strengthen customer loyalty #1 in fibre in

#Essentiels2020 Orange strategic plan 17 mars 2015 disclaimer This presentation contains forward-looking statements about Orange. Although we believe these statements are based on reasonable assumptions,

H1 2011 Strategy & Results Presentation September 1 st, 2011 1 Disclaimer This document has been prepared by ILIAD S.A. (the "Company ) and is being furnished to you personally solely for your information.

FttH in France : orientation of regulation access to ducts sharing of the last part of the optical loop Bertrand Vandeputte, LLU & Fttx division, ARCEP OCDE Workshop on Fibre Investment and Policy Challenges

This presentation contains forward-looking information and statements about the Bouygues group and its businesses. Forwardlooking statements may be identified by the use of words such as will, expects,

Numericable Group Company presentation July 2013 The Future Begins Today Creating the French Champion in Very High Speed Fixed Mobile Convergence 17 March 2014 Disclaimer This presentation contains statements

FY 2011 Strategy & Results Presentation March 8 th, 2012 1 Disclaimer This document has been prepared by ILIAD S.A. (the "Company ) and is being furnished to you solely for your information and personal

Morgan Stanley Conference November 20 th, 2008 Disclaimer This document has been prepared by ILIAD S.A. (the «Company») and is being furnished to you personally solely for your information. This presentation

1H 2015 Strategy & Results Presentation August 31, 2015 1 Disclaimer This document has been prepared by Iliad S.A. (the "Company ) and is being furnished to you solely for your information and personal

2007 Results & Strategy Presentation March 12 th, 2008 Disclaimer This document has been prepared by ILIAD S.A. (the «Company») and is being furnished to you personally solely for your information. This

This presentation contains forward-looking information and statements about the Bouygues group and its businesses. Forwardlooking statements may be identified by the use of words such as will, expects,

Next Generation Access Glossary 21CN: BT s upgrade of their core network (the backbone of the network). Access network: The part of the network that connects directly to customers from the local telephone

This presentation contains forward-looking information and statements about the Bouygues group and its businesses. Forwardlooking statements may be identified by the use of words such as will, expects,

1H 2016 Strategy & Results Presentation August 31, 2016 1 Disclaimer This document has been prepared by Iliad S.A. (the "Company ) and is being furnished to you solely for your information and personal

1H 2008 Results & Strategy Presentation August 28 th, 2008 Disclaimer This document has been prepared by ILIAD S.A. (the «Company») and is being furnished to you personally solely for your information.

J son & Partners Consulting company presents the results of the research of broadband access networks market in Russia and overseas. The main objective of the research made by J'son & Partners Consulting

Status of IPTV Business and Regulation across Europe IPTV Business Insight - Seoul, Korea, 7 May 2008 James Thomson Cullen International james.thomson@cullen-international.com Outline What is IPTV? Broadband

Accelerating future growth with 300m network investment (Program Alpha ) March 2013 Disclaimer This presentation may contain forward-looking statements. These statements are based on management's current

2010 ANNUAL RESULTS Paris, 9 March 2011 Record revenues of 2 billion Group EBITDA in excess of 39% of revenues 78% growth in net profit to 313 million 2G and 3G roaming deal signed with Orange 33% increase

John de Ridder What drives broadband takeup? Abstract This article summarises an econometric study undertaken by the author for the OECD which found several key factors explaining the level of broadband

CITI: State of Telecom Industry the France Telecom Group: Update from Europe Michel Huet President France Telecom North America the France Telecom Group worldwide 161 million customers in 220 different

SFR Investor Presentation September 2011 1 GLOBAL PLAYER SCALE WITH LOCAL STRENGTH WE HAVE THE CRITICAL SIZE Largest alternative operator in Europe by revenues: 12.6bn turnover (2010) #1 alternative integrated

DEUTSCHE TELEKOM Results DISCLAIMER This presentation contains forward-looking statements that reflect the current views of Deutsche Telekom management with respect to future events. These forwardlooking

GAINING AN EDGE ON THE BIG GUYS: HOW A SMALL RURAL TELCO CAN EFFECTIVELY COMPETE WITH NEXT-GEN BROADBAND SERVICES AN ENABLENCE ARTICLE ORIGINALLY PUBLISHED IN OPASTCO ROUNDTABLE MAGAZINE May, 2010 www.enablence.com

Digital Dividend Making the broadband business successful Achieving the highly desired ubiquitous broadband coverage is firmly on the agendas of governments and their subordinate agencies, telecommunication

Company presentation UBS Best of Switzerland Conference, Wolfsberg Urs Schaeppi, CEO 15 September 2016 Swisscom profile The best in the networked world everywhere and all the time 2 Best network (UBB and

Current Report (38/) Orange Polska S.A., Warsaw, Poland July 27, Pursuant to art. 56, clause 1, item 1 of the Law of July 29, 2005 on public offering and the conditions for introducing financial instruments

Update on KPN s fiber roll-out Next phase in Consumer strategy 15 December 2009 Safe harbor Non-GAAP measures and management estimates This presentation contains a number of non-gaap figures, such as existing

Cable Facts & Figures Cable networks go into the home of 6 million customers in the European Union, providing Digital TV, Broadband Internet, and Telephony services YE 13 Data Including All EU 8 Member

Glossary of broadband terms 3G: Refers to the third generation of mobile phone technology following on from 2G. 3G allows for faster access to the internet and allows services including video calls and

Final report for the Broadband Stakeholder Group The costs of deploying fibre-based next-generation broadband infrastructure Final report 8 September 2008 This report has been commissioned by the Broadband

Broadband Provisioning is an Important Factor for Competition of Market Places Broadband connections for the use of communications technologies with high data transfer rates are an important economic factor.